realisedevelopment.net

Just another WordPress site

Enterprise at its best—decoupled from self-interest?

July 23, 2009 by admin

Julia Middleton has written an interesting piece for the Institute of Directors.  She argues that we need to decouple ‘enterprise’ from ‘self interest’.

Julia contrasts the motivations of the bankers  – ‘primarily financial‘ with the interests of Narayana Murthy, Chair of Indian IT giants Infosys – primarily about a ‘wider social gain‘.

Julia suggests that ‘Bankers’ are primarily motivated by self interest, while Murthy was motivated by a wider social need that ‘transcended’ personal gain.

“Many people wondered why I wanted to take such a risk, to create, at that time in India, a company that would set a new standard of ethics in business. I had a good job, I was married, I had a small child, and I was brought up middle class. It was no easy decision. But all of us are driven by factors that transcend the hygiene factors: money and position. We all want to do something noble and make a difference to the context.”

Julia argues that this view of enterprise is “glorious and grand and is delivered the world over by people motivated not only by personal gain but also by the needs of their communities and countries. It is enterprise at its best—enterprise decoupled from self-interest.”

But Murthy was acting EXACTLY in his own self interest.  He was driven by factors that ‘transcended the hygiene factors’.  He was driven to do something ‘noble’.  He believes that everyone else is as well.  Presumably even bankers?

In my book, both enterprise and entrepreneurship are all about ‘self interest’ and ‘power’.  About taking decisions and actions that work for a self interest that has been properly understood and negotiated.  Not simply in terms of profit, but in terms of sustainability, and wider societal impact.  Some bankers seem to have managed this ‘proper negotiation  of self interest’ more effectively than others.  As indeed have some IT companies.

Perhaps Julia is arguing that good enterprise is ‘selfless’ rather than ‘selfish’?

I would argue that both of these are equally dangerous foundations on which to build an enterprise.  The middle ground of self interest, where my hopes and aspirations (to get rich, to save the whale, to reverse climate change, to do something noble) are properly and sustainably negotiated with the interests of others provides the only strong foundation for a sustainable, progressive and effective relationship.

I cannot be always giving (selfless) nor can I be always taking (selfish).

The point is not that we should decouple enterprise from self interest – but that we should work with people to ensure that their self interest is both rightly understood and properly negotiated with both the present and the future.  That personal perceptions of self interest remain dynamic and relevant (witness Bill Gates journey from techy to philanthropist – all the time pursuing his self interest).

Instead of urging people to put self interest to one side we should be urging them to put it ‘up front and centre stage’.  We should then help them to explore how their self interest ‘works’ with the self interests of others.  To understand how self interest is served by helping others.  How association, co-operation and mutuality work in pursuit of individual and collective self interests.

Because it is the mutual negotiation of self interests, and access to the power to pursue interests effectively, that provide the basic building blocks of civic society.

Filed Under: enterprise, entrepreneurship Tagged With: enterprise, entrepreneurship, power, professional development, psychology, self interest

Recent Posts

  • Hello world!
  • The Challenges of ‘Engaging Community Leaders’
  • Are rich people less honest?
  • 121s – The single most effective tool for improving performance at work?
  • Wendell Berry’s Plan to Save the World

Recent Comments

  • A WordPress Commenter on Hello world!
  • charles hapazari on Top Down: Bottom Up
  • Marvina Babs-Apata on The Challenges of ‘Engaging Community Leaders’
  • Steve Hoey on The Challenges of ‘Engaging Community Leaders’
  • Philippa on An imaginary open letter: To those who would ‘engage’ us…

Archives

  • November 2018
  • March 2014
  • November 2013
  • October 2013
  • August 2013
  • March 2013
  • February 2013
  • January 2013
  • December 2012
  • September 2012
  • August 2012
  • July 2012
  • June 2012
  • May 2012
  • April 2012
  • March 2012
  • February 2012
  • January 2012
  • December 2011
  • November 2011
  • October 2011
  • September 2011
  • August 2011
  • July 2011
  • June 2011
  • May 2011
  • April 2011
  • March 2011
  • February 2011
  • January 2011
  • December 2010
  • November 2010
  • October 2010
  • September 2010
  • August 2010
  • July 2010
  • June 2010
  • May 2010
  • April 2010
  • March 2010
  • February 2010
  • January 2010
  • December 2009
  • November 2009
  • October 2009
  • September 2009
  • August 2009
  • July 2009
  • June 2009
  • May 2009
  • April 2009
  • March 2009
  • February 2009
  • January 2009
  • December 2008
  • November 2008
  • October 2008
  • September 2008
  • August 2008
  • July 2008
  • June 2008
  • May 2008
  • April 2008
  • March 2008
  • February 2008
  • January 2008
  • December 2007
  • November 2007
  • October 2007
  • September 2007
  • August 2007
  • July 2007
  • June 2007
  • May 2007
  • April 2007

Categories

  • Community
  • Development
  • enterprise
  • entrepreneurship
  • Leadership
  • management
  • Progress School
  • Results Factory
  • Training
  • Uncategorized

Meta

  • Log in
  • Entries feed
  • Comments feed
  • WordPress.org

Copyright © 2023 · Enterprise Pro on Genesis Framework · WordPress · Log in